Comprehensive Income

3 Months Ended

Dec. 26, 2020

The Company’s OCI consists of foreign currency translation adjustments from those subsidiaries not using the U.S. dollar as their functional currency, net deferred gains and losses on certain derivative instruments accounted for as hedges, and unrealized gains and losses on marketable debt securities classified as available-for-sale.

The following table shows the pre-tax amounts reclassified from AOCI into the Condensed Consolidated Statements of Operations, and the associated financial statement line items, for the three months ended December 26, 2020 and December 28, 2019 (in millions):


		Three Months Ended
Comprehensive Income Components	Financial Statement Line Items	December 26, 2020		December 28, 2019
Unrealized (gains)/losses on derivative instruments:
Foreign exchange contracts	Total net sales	$	104	$	(97)
	Total cost of sales	245		(171)
	Other income/(expense), net	(628)		(223)
Interest rate contracts	Other income/(expense), net	3		2
		(276)		(489)
Unrealized (gains)/losses on marketable debt securities	Other income/(expense), net	(118)		(13)
Total amounts reclassified from AOCI		$	(394)	$	(502)

The following table shows the changes in AOCI by component for the three months ended December 26, 2020 (in millions):


	Cumulative Foreign Currency Translation		Unrealized Gains/Losses on Derivative Instruments		Unrealized Gains/Losses on Marketable Debt Securities		Total
Balances as of September 26, 2020	$	(1,375)	$	(877)	$	1,846	$	(406)
Other comprehensive income/(loss) before reclassifications	549		(294)		708		963
Amounts reclassified from AOCI	—		(276)		(118)		(394)
Tax effect	—		83		(67)		16
Other comprehensive income/(loss)	549		(487)		523		585
Balances as of December 26, 2020	$	(826)	$	(1,364)	$	2,369	$	179